Core Points - Argent Trust Company, as the trustee of the San Juan Basin Royalty Trust, will not declare a monthly cash distribution to Unit Holders due to the application of net proceeds of $1,499,498 to excess production costs from Hilcorp's drilling activities in 2024 [1] - The cumulative balance of excess production costs is approximately $15,160,257 gross ($11,370,193 net to the Trust), reflecting a decrease of $1,999,331 gross ($1,499,498 net) from the previous month [1] - Hilcorp reported total revenue of $6,984,564 for March 2025, with gas revenues of $6,904,591 and oil revenues of $79,973, while production costs for the same month were $4,985,233 [2] - The average gas price for March 2025 was $2.82 per Mcf ($2.54 per MMBtu), a decrease of $0.54 per Mcf ($0.48 per MMBtu) compared to February 2025 [4] - Trust administrative expenses for the month totaled $85,694, with interest income of $856 applied to cover part of these expenses [3] - Cash reserves were utilized to cover administrative expenses, bringing the balance of cash reserves maintained by the Trustee to $32,959, with plans to increase reserves to $2.0 million before future distributions [5] Financial Overview - Hilcorp's production costs for March 2025 included $3,193,460 in lease operating expenses, $786,589 in severance taxes, and $1,005,184 in capital costs [2] - The Trust's ongoing audit process includes detailed analysis of Hilcorp's pricing and rates charged, ensuring compliance with operative Trust agreements [6]